World Bank Group endorses new framework to advance Tanzania’s development goals

Dar es Salaam. The World Bank Group’s board of executive directors has approved a new country partnership framework (CPF) for Tanzania to consolidate the country’s status as a lower-middle-income nation while enhancing human development and supporting global poverty eradication efforts.

The strategy, covering 2025–2029, embodies the One-WBG approach, integrating the strengths of the International Development Association (IDA), the International Finance Corporation (IFC), and the Multilateral Investment Guarantee Agency (MIGA) in Tanzania.

Key priorities of the CPF include advancing Tanzania’s human development agenda through transformative interventions in education, healthcare, water, sanitation, and hygiene (WASH), as well as shock-responsive social protection programmes.

These initiatives build on the Tanzanian government’s ongoing efforts.

Furthermore, the CPF aims to create an enabling environment for private sector-led growth by reinforcing reforms that enhance the business climate, investing in infrastructure, and modernising productive sectors.

Leveraging Tanzania’s strategic geographic position, the framework seeks to foster inclusive growth domestically and across the sub-region.

The World Bank country director, Mr Nathan Belete, said climate resilience and economic stability are also critical components of the CPF, focusing on climate change adaptation, mitigation strategies, and strengthening overall economic resilience.

The framework prioritises cross-cutting themes of empowering women and youth and enhancing government effectiveness through transparent and accountable institutions.

He said Tanzania’s recent policy strides in education and vocational training emphasised the transformative impact on human development and poverty reduction.

“The CPF reflects extensive consultations and aligns with Tanzania’s Third Five-Year Development Plan and Zanzibar’s Five-Year Development Plan.

Its emphasis on private sector-led growth aligns with the IFC's Creating Markets Strategy, aimed at fostering conditions for inclusive development,” he said.

IFC’s regional director for Eastern Africa, Ms Mary Porter Peschka, underscored the critical role of private sector participation in Tanzania’s economic growth and job creation, emphasising IFC’s commitment to supporting inclusive finance, agribusiness, manufacturing, and sustainable infrastructure.

Director of Economics and Sustainability at MIGA, Șebnem Erol Madan, said increased investor interest in Tanzania is supported by recent government reforms.

MIGA will continue to promote financial inclusion and climate finance, leveraging the World Bank Group’s guarantee platform to mobilise private capital in sectors like renewable energy and digital technology.

“The CPF builds on the success of the previous 2018–2022 framework, which facilitated significant improvements in water access, secondary education, and electricity provision across Tanzania. Notable achievements include improved school attendance, expanded vocational education, and increased rural electrification,” he said.

IFC’s investment portfolio in Tanzania exceeds $400 million, focusing on financial institutions, agribusiness, and real estate, with additional advisory support.

MIGA’s recent guarantees in the mobile money and banking sectors underscore its expanding role in Tanzania’s development, with a robust pipeline in the renewable energy and digital sectors.